CTG DUTY-FREE (01880) saw its shares climb over 3% in late trading. As of the time of writing, the stock was up 2.42%, trading at HKD 78.45, with a turnover of HKD 333 million.
The New Year holiday period, being the first short break following the full island customs closure of the Hainan Free Trade Port, saw the tourism market get off to a "strong start." The province received 2.1716 million tourist visits, a year-on-year increase of 25.2% on a comparable basis; total tourism revenue reached RMB 3.136 billion, up 28.9% year-on-year. The growth rate of revenue was 3.7 percentage points higher than that of visitor numbers, indicating a continuous optimization of the consumption structure.
Duty-free sales for off-island travelers and inbound tourism were particularly standout sectors. It is believed that the benefits of the customs closure policy, combined with a diversified product supply, will jointly propel the Hainan tourism market into a new stage of high-quality development.
According to a report, data from Haikou Customs shows that duty-free sales in Hainan from January 1st to 3rd grew 129% year-on-year to RMB 712 million, while the number of duty-free shoppers increased by 61% year-on-year.
The report estimates the average per capita duty-free spending was RMB 8,527, a rise of 42.5% year-on-year; the quantity of purchased goods also increased by 52.4% compared to the previous year. All data points surpassed market expectations.
The strong sales growth is primarily attributed to the relaxation of shopping policy restrictions in October last year for local residents and departing travelers at Hainan's duty-free shops, which drove an increase in shopper traffic.
Comments